NOA Group And Sibanye-Stillwater Sign 401 GWh Renewable Energy Deal Via Eskom Grid

In a major step toward clean energy adoption in South Africa’s mining sector, NOA Group and Sibanye-Stillwater have signed a long-term renewable energy supply agreement that will deliver about 401 gigawatt-hours (GWh) of electricity every year to Sibanye-Stillwater’s operations. The agreement strengthens NOA Group’s position as a key energy supplier to the mining industry, with a total delivery capacity of 1.5 terawatt-hours (TWh) per year.

The structure of the deal combines stability with flexibility. Sibanye-Stillwater will receive a fixed 401GWh annually under a long-term arrangement, along with an additional 100GWh through a shorter-term flexible contract. The agreement follows a “take-and-pay” model, allowing the mining company to secure reliable power while also benefiting from cost savings. The electricity will be delivered through Eskom’s national grid using a wheeling framework, which enables power generated at one site to be transported through existing transmission infrastructure to another location.

A key part of the supply will come from the Stellar solar photovoltaic project, which NOA recently acquired from DRDGOLD. By using a diversified portfolio of renewable energy assets, NOA will supply around 138MW of capacity each year over a ten-year period. The second phase of the project is expected to include Battery Energy Storage Systems (BESS), which will help stabilize supply and allow for higher volumes of renewable energy in the future.

The financial benefits of the agreement are significant. By 2028, renewable energy is expected to meet 56 percent of Sibanye-Stillwater’s total electricity demand in South Africa. The company estimates that this shift could reduce electricity costs by 20 to 30 percent compared to Eskom’s standard wholesale tariffs.

The environmental impact is also substantial. The agreement is projected to cut annual greenhouse gas emissions by 433,080 tonnes of carbon dioxide equivalent in its initial phase. By 2028, avoided emissions are expected to rise to 2.63 million tonnes annually as more renewable energy is added.

Karel Cornelissen, CEO of NOA Group, said the deal reflects the growing demand for large-scale wheeled renewable energy in South Africa. Richard Stewart, CEO of Sibanye-Stillwater, described the agreement as an important milestone in the company’s plan to achieve carbon neutrality by 2040.

The partnership highlights how major mining companies are increasingly turning to renewable power to improve cost efficiency, energy security, and environmental performance in a challenging national energy environment.